Woolworths raises A$636 mln in Endeavour Group selldown -source

Australian supermarket company Woolworths Group Ltd has raised A$636 million ($436.04 million) by selling 98.5 million shares in Endeavour Group Ltd in a block trade at A$6.46 ($4.43) each, according to a source with direct knowledge of the matter.

Australian supermarket company Woolworths Group Ltd has raised A$636 million ($436.04 million) by selling 98.5 million shares in Endeavour Group Ltd in a block trade at A$6.46 ($4.43) each, according to a source with direct knowledge of the matter. The source could not be named as the information had not yet been made public.

Woolworths and Endeavour Group did not respond to a request for comment outside normal business hours in Australia. Endeavour is an alcohol retailer, hotels and poker machine operator that was spun out of Woolworths in 2021.

Following the sale of the 98.5 million shares, Woolworths will retain a 9.1% stake in Endeavour, a term sheet for the deal seen by Reuters showed. Woolworths told investors when the block trade was launched it had no intention of selling further stock.

It said the proceeds would be used for strategic investments. Local media has reported Woolworths is interested in acquiring a stake in a pets accessory company. ($1 = 1.4586 Australian dollars)